Cybernaut

iPhone a hit, but...

The launch of the iPhone, Apple’s new phone, Internet and
multimedia device, was a success at every level last week.

First you had the usual army of tech geeks, lining up for days
in front of some American retailers in order to be the first to purchase the
device. As usual the media took notice of these long lines, ratcheting
consumer expectations into a frenzy.

Then you had the reviews. Apple gave tech reviewers iPhones
about two weeks in advance of the launch date in order to get as much media
attention as possible for their device, and for the most part the reviews were
positive. CNet (
www.cnet.com
), one of
the stingiest and most respected review sites on the web, gave the iPhone an
8.0 out of 10. Their customers, however, gave the iPhone a 6.6, once again
proving that inflated hype and expectations are almost always deflated.

Lastly, Apple posted the kind of sales numbers in less than
three days that investors drool over. Some 525,000 units were sold in the first
weekend, with many stores running out of stock. Launches in Europe and Asia
will follow in the next few months once production catches up to the demand, en
route to projected worldwide iPhone sales of 10 million.

There are no planned launch dates for Canada, which is the
result of both manufacturing limitations and the fact that the phone is made to
be compatible with AT&T/Cingular services, and is therefore not fully
compatible with any wireless services offered in Canada.

Maybe it’s just as well for Canadians. By all accounts, the
iPhone is far from perfect or affordable at this stage.

Most negative reviews have noted that the iPhone is actually
less capable than other cell phone/MP3 players on the market. There is no support
for stereo Bluetooth or the 3G standard, which is a basic feature for other
phones, and the sound quality varies. They also noted that users have to sync
to their computer to manage their music content, that there isn’t much in terms
of applications — no games, no productivity software. The web browser is
also slow, and doesn’t support most video or flash content. The fact that the
storage is not expandable was also identified as an issue, as even the 8 GB
model could prove to have too little storage for video, music, games and other
applications that presumably will follow the launch.

Other reviews looked at the price, and the way costs will add
up for early adopters. Right now it costs about $499 for the 4 GB model and
$599 for the 8 GB model (all figures in U.S. dollars). The activation fee is
about $36, which includes a mandatory two-year contract. There are three plans
available, for $60, $100 and $220 a month, that will cost you between $2,000
and $6,000 over two years when you include the cost of the phone.